Interesting People mailing list archives

more on Tax breaks for SUV's


From: David Farber <dave () farber net>
Date: Mon, 20 Feb 2006 13:33:06 -0500



Begin forwarded message:

From: Joe Touch <touch () ISI EDU>
Date: February 20, 2006 12:34:48 PM EST
To: alberti () sanction net
Cc: dave () farber net
Subject: Re: [IP] Tax breaks for SUV's

The loophole that non-commercial vehicles are being purchased using
commercial tax credits is what's cute.

But they want to eat their cake and have it - they want tax breaks based
on weight, but I suspect many would be disgruntled if they got
enforcement on weight limits.

The larger question about the alternate-fuel credit:

        How much fuel - oil in particular - is used in creating
        and or/recycling hybrid car batteries?

You're absolutely right about gas guzzlers - driving a reasonably
efficient sedan (mine is large, 8 cylinders, and gets 30mpg highway) is
as efficient as driving a large hybrid SUV on the highway, and pollutes
less (in terms of battery waste).

FYI: many large-hybrid owners in CA were very disappointed about not
being able to drive solo in the carpool lane. They thought "hybrid"
meant environmentally-friendly, so they would get a permission sticker
(required). Turns out they need to get 45mpg (EPA rated) to qualify; of
hybrids listed at Edmunds.com, only the Prius, Civic, and Insight
qualify. None of the SUVs, and not even the midsize Accord are efficient
enough.

Hybrids do not get better mileage at sustained highway speeds; if you
want to take advantage of their impact on the environment, you'd put
them in with the stop-and-go non-HOV lanes ;-)

Joe

Robert Alberti wrote:
I don't think the point was that the tax break is a cute trick: I think
the point was to illustrate that the government pays lip service to
alternative-fueled vehicles ($3,150 credit) but actually continues to
encourage gas-guzzlers ($25,000 deduction).

On Sun, 2006-02-19 at 08:52 -0500, Dave Farber wrote:
-------- Original Message --------
Subject: Re: [IP] Tax breaks for SUV's
Date: Sat, 18 Feb 2006 23:34:12 -0800
From: Joe Touch <touch () ISI EDU>
To: dave () farber net
References: <43F7D17F.3010203 () farber net>

Dave,

The deduction for work vehicles is a cute trick but known for a long time.

What would happen to these owners of commercial-weight vehicles if they
couldn't use them in their own residential areas?

http://www.ci.manhattan-beach.ca.us/municode/Title_14/48/020.html

Joe

Dave Farber wrote:
-------- Original Message --------
Subject: Tax breaks for SUV's
Date: Sat, 18 Feb 2006 20:49:29 -0500 (EST)
From: EEkid () aol com
To: dave () farber net



"Federal tax rules that took effect last month allow a credit of up to
$3,150
for anyone buying a hybrid car. The credit is the same regardless of tax
bracket.
However, owners of small businesses who buy a Hummer, Ford Excursion or
other
SUV weighing more than 3 tons get a deduction of up to $25,000 — depending
on  tax bracket — if they use the vehicle exclusively for work.
The benefits don't stop there. Once they subtract the $25,000 from the
cost
of their 3-ton SUV, small business owners can deduct the depreciation on
the
remaining amount. Someone who bought a $60,000 SUV, for example, can
claim the
 remaining $35,000 over six years."
_http://news.yahoo.com/s/ap/20060218/ap_on_bi_ge/ suvs_tax_breaks;_ylt=Ai9OXKlD
wlVWUrnoqpmDDZIDW7oF;_ylu=X3oDMTBiMW04NW9mBHNlYwMlJVRPUCUl_
(http://news.yahoo.com/s/ap/20060218/ap_on_bi_ge/ suvs_tax_breaks;_ylt=Ai9OXKlDwlVWUrnoqpmDDZIDW7
oF;_ylu=X3oDMTBiMW04NW9mBHNlYwMlJVRPUCUl)


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